US debt buyer Encore Capital has agreed to pay £128m for a controlling stake in Cabot Credit Management (CCM). The agreement comes two weeks after CCM – one of the UK’s largest debt buyers – was purchased by US private equity firm J.C.Flowers & Co from AnaCap Financial Partners. Encore Capital has subsequently agreed to buy 51% of the equity held by J.C. Flowers in a deal which gives it control of the CCM Group. The deal should close by the third quarter of this year and contains a clause giving Encore Capital the option to purchase the remaining company interest from J.C. Flowers from the fourth anniversary of the deal going through. Encore Capital’s president and incoming chief executive Ken Vecchione, said: “Encore has been looking for a strong partner in the U.K. for several years – one that is a leader, has a strong management team and has the ability to leverage our analytic capabilities and efficient operating platform. We’ve found all of this in Cabot Credit Management.”....Read more here
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